12,325 ETH Worth $47M Was Just Burned
Portfolio Pulse from Benzinga Insights
On Wednesday, 12,325.35 Ether (ETH) worth approximately $47.7 million was burned, permanently removing it from circulation. This action follows the Ethereum blockchain's EIP-1159 upgrade, which introduced a variable base fee for transactions that is burned, contributing to a decrease in Ether's supply. The current issuance rate of new Ether is 4% annually, expected to drop to 0.5-1% with the Ethereum 2.0 upgrade, potentially making ETH a deflationary currency. The net annualized issuance rate for Ether was -15.35% yesterday.
March 14, 2024 | 6:00 pm
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12,325.35 Ether worth $47.7 million was burned, potentially making ETH a deflationary currency as the Ethereum 2.0 upgrade approaches, which could decrease the annual issuance rate to 0.5-1%.
The burning of 12,325.35 Ether, worth approximately $47.7 million, directly impacts the supply of ETH, making it potentially deflationary. This is significant given the Ethereum 2.0 upgrade's expected reduction in annual issuance rate. The net annualized issuance rate of -15.35% further supports the potential for ETH to become a deflationary currency, which could increase its value over time.
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